Federal judge hears arguments in Vanderbilt casino case

March 24, 2011

Federal Judge Paul Maloney heard arguments Wednesday in KalamazooÂ¿s U.S. District Court from the State Attorney GeneralÂ¿s office and the Little Traverse Bay Band of Odawa Indians asking for a temporary injunction to close down Bay MillsÂ¿ Vanderbilt casino while the legality of the casino works its way through the courts. Little Traverse Bay Band of Odawa Indians tribal chairman Ken Harrington (pictured here) and the Attorney GeneralÂ¿s office have maintained the casino was opened illegally, is not located on Indian land and violates the Indian Gaming Regulatory Act.

Editor's note: This story has been corrected to indicate James Nye is a spokesperson for the coalition of tribes; including the Odawa, who are in opposition of the Bay Mills casino in Vanderbilt.

The State Attorney General’s office and the Little Traverse Bay Band of Odawa Indians are asking for a temporary injunction to close down the Vanderbilt gaming operation while the legality of the casino works its way through the courts.

According to James A. Nye,spokesperson for the coalition of tribes, including the Odawa, who are opposed to the Vanderbilt casino, Maloney did not issue an order from the bench and informed the three parties involved he would take their oral arguments under advisement and issue an order soon.

In December, the Odawa tribe and Attorney General’s office filed a consolidated lawsuit to shut down the Vanderbilt casino, which the Bay Mills Indian Community opened north of the village Nov. 3.

It has been the Bay Mills tribe’s contention the casino, which currently has 84 slot machines, is operating on Indian land and is therefore legal. Last summer, Bay Mills purchased approximately 36 acres from Treetops Resort, including the resort’s old information center, which is located just off Old 27 near the I-75 southbound Vanderbilt exit.

Renovations were completed in November when the tribe opened the casino and less than two months later completed an addition to the original structure, doubling the size of the gaming facility.

Ken Harrington, Odawa tribal chairman, and the Attorney General’s office have maintained the casino was opened illegally, is not located on Indian land and violates the Indian Gaming Regulatory Act.

Nye, who attended Wednesday’s motion hearing, stated Judge Maloney pressed Bay Mills’ attorneys to respond to the state and Odawa’s concerns about what would happen if the tribe prevailed and were allowed to remain open in Vanderbilt. Nye said the judge asked if Bay Mills would then open more casinos.

“After dancing around the question their attorneys finally answered with one word: yes,” said Nye. “The tribe admitted they have every intention to expand to other areas.”

According to Nye. Bay Mills has purchased property near Port Huron and, if allowed to keep the Vanderbilt casino open, would eventually expand to that city, as well as other locations.

A Thursday e-mail from Shannon Jones, spokesperson for Bay Mills, indicated the tribe was “confident in the merits of our case and are awaiting the decision just as everyone else is at this time.”

In a Wednesday statement, Harrington expressed confidence as well that the court would ultimately rule in Odawa and the state’s favor and order Bay Mills to close its Vanderbilt casino.

“We believe the proceedings make it clear that the casino being operated at Vanderbilt by the Bay Mills Indian Community violates the spirit and the letter of the law,” Harrington said in the statement.

“Congress purposely limited Indian tribe’s ability to open casinos in far flung locations and we believe Bay Mills decision to unilaterally open a casino more than 100 miles from its reservation is a violation of federal law and the Bay Mills’ compact with the State of Michigan.”